In 1A1, Why Does Mencius Advise King Hui Not to "Speak

question 589

Multiple Choice

In 1A1, why does Mencius advise King Hui not to "speak of profit?"

• A) Because it is undignified for a king to worry about something as petty as profit.
• B) Because if the king values profit over righteousness, everyone else will, too, leading to bad outcomes for the king.
• C) Because a king is supposed to respect ritual propriety, which prohibits speaking of profit.
• D) Because if the people think the king is only interested in profiting himself, they will assassinate him.

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Definitions:

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, providing a snapshot of its financial health.

LIFO Assumption

An inventory valuation method in which the last items purchased or produced are the first to be expensed (Last In, First Out).

Perpetual Inventory

A method of accounting for inventory that records the sale or purchase of inventory immediately through the use of computerized point-of-sale systems and enterprise asset management software.

Retail Inventory Method

An accounting method used to estimate the ending inventory balance of a retail store by applying a cost-to-retail price ratio to the sales for the period.